Table 11 gives the weekly equipment ownership costs and the cost 

 per chick with operations at 100 percent of capacity. Very minor 

 economies are evident. The cost per chick decreases discontiniiously from 

 0.304 cents for hatchery A to 0.271 cents for hatchery H. 



The combined cost for equipment and building ownership decreases 

 continuously over the range of hatchery sizes considered. The cost per 

 chick decreases from 0.434 cents for hatchery A to 0.332 cents for hatch- 

 ery H, and is a reduction of 24 percent. 



Equipment ownership costs for delieaking vary considerably de- 

 pending on technology and utilization. Hatchery A has the lowest cost 

 per chick; 0.002 cents. Hatchery B has the highest cost per chick, and 

 cost decreases continuously through model hatchery E. The cost per 

 chick for the three larger scale hatcheries is the same but is slightly 

 higher than that for hatchery E. Table 11 gives the equipment cost for 

 debeaking. 



Table 11. Weekly Costs and Cost Per Chick for Incubating and Hatching 



Equipment and Debeaking Equipment in Eight Model Hatcheries 



with Operations at 100 Percent of Capacity 



Ite 



B 



Hatchery 

 D E 



H 



(dollars) 



Cost per chick 



.304 



.307 



.292 



(cents) 

 .286 .290 



.282 



.275 



.271 



Total for 



debeaking 



equipment 



(dollars) 



.56 10.21 10.53 10.85 11.54 21.81 32.71 41. 



Cost per chick 



(cents) 

 .002 .020 .014 .011 .008 .010 .010 .010 



Management Requirements and Costs 



Integration has presented an opportunity for reducing managerial 

 costs. Those hatcheries integrated with marketing systems that conduct 

 broiler growing operations do not require sales organizations since the 



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